Latest official data shows uneven performance in manufacturing sector
Canadian manufacturers have been grappling with higher costs and supply chain issues, along with economic uncertainty that has made overall business conditions challenging.
May’s official figures from Statistics Canada reveal uneven performance across the sector with sales gaining 0.4% overall to $71.4 billion, down from the 1.4% gain recorded in April. Total sales year-over-year were down 1.8%.
The industries showing growth in May were led by the aerospace product and parts industry group (+11.2%), followed by higher sales in the food (+1.4%) and paper (+5.5%) product subsectors, while decreases were led by motor vehicles (-4.2%) and petroleum and coal products (-2.2%).
By province, Quebec (+1.2%) and Ontario (+0.5%) saw the largest increases in manufacturing sales while Saskatchewan posted a slump (-13.1%), mostly due to a 15% decrease in sales of non-durable goods. The province’s sales were down more than 15% from May 2023.
Total inventory levels edged up 0.2% to $121.2 billion in May.
Separate stats on wholesale trade show a drop of 0.8% to $82.2 billion in May (excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain).
Motor vehicle and motor vehicle parts and accessories led the declines seen in five of the seven subsectors and overall wholesale sales were 0.9% lower in May compared with the same month of 2023. Manitoba and Quebec led the declines.
Wholesale inventories increased 0.9% to $127.8 billion in May.
